“The management of Cargolux Airlines and have reached an agreement on the main points of a new collective work agreement, covering a period of three years, effective October 2015,” Cargolux said in a statement, adding that it hopes to finalize the deal on Sept. 16.
The declaration of intent, signed Friday, marks a breakthrough in talks between Cargolux and the OGBL union that started in September 2014.
Under the tentative pact, Cargolux has negotiated a number of measures to make its business more flexible and competitive. This includes “significantly more” part-time contracts, changes to working patterns and adjusted pay scales for new staff. However, it also agreed to cap the number of aircraft at Cargolux Italia, create a profit share scheme and abandoned plans for a “time unit freeze”.
The deal with OGBL came hours after tensions between Cargolux and Luxembourg’s LCGB union erupted into a 24-hour warning strike on Thursday. LCGB has accused Cargolux of safety shortcomings, an allegation that the airline has strongly denied.